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Affiliate Summit East 2010 Innovate! New Exciting Applications of Affiliate Marketing Joe Stepniewski Co-Founder, Skimlinks
What, who, when?
1934:  Theorie der Wirtschaftlichen Entwicklung , Joseph Schumpeter defined  economic innovation…
[object Object],[object Object],[object Object],[object Object],Innovation defined The Theory of Economic Development, 1934
[object Object],Where does innovation come from?
1934:  Theorie der Wirtschaftlichen Entwicklung , Joseph Schumpeter defined  economic innovation…  OK – We got the wild spirits bit sorted
[object Object],Where does innovation come from?
[object Object],[object Object],[object Object],Innovation often sparks from limited resources or limited environment
Affiliate marketing  =  entrepreneurs + savvy retailers + limited resources =  consistent  innovation Photo credit: Shawn Collins
The Innovation Landscape
Innovation and adoption are increasing the rate of growth of affiliate spending US Affiliate Marketing spending 1994-2016 $bn $2bn 16% p.a. $7bn 20+% p.a.?
The eras of affiliate marketing Wild west era Domestication era Affilination era US Affiliate Marketing spending 1994-2016 Ubiquity era $bn
The Wild West: Ruled by cowboys
Innovation came from the adult industry
[object Object],[object Object],[object Object],[object Object],[object Object],Wild West Era (WWE)
[object Object],[object Object],[object Object],[object Object],[object Object],Adult Friend Finder’s innovation: helping establish the affiliate model Source: Business 2.0 Magazine, Adult Friend Finder
Domestication: Taming the beast
[object Object],[object Object],[object Object],Domestication Era (DE) 2001-2008
[object Object],[object Object],[object Object],[object Object],[object Object],DE Innovations: 2001-2008
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Search traffic restrictions drove innovation
New innovations displace old revenue streams Affiliate Window’s affiliate revenue sources 2005-2010
[object Object],[object Object],[object Object],[object Object],[object Object],Innovation must not run unchecked
[object Object],[object Object],[object Object],Merchant innovation in response to coupon code challenges
Ubiquity: Affiliates are everywhere
[object Object],[object Object],[object Object],[object Object],[object Object],Ubiquity Era (UE) 2008-2013
Major brands have affiliate programs ,[object Object]
Consumers use affiliate sites every day  (and understand the model)
[object Object],[object Object],[object Object],[object Object],Affiliate marketing, meet my friend: tech startup
10 innovations improving the purchasing funnel
Advertising
Merchants helping with distribution of data feeds through ad-units ,[object Object],[object Object]
[object Object],[object Object],[object Object],Retargeting in affiliate marketing Source: Mythings.com
Retargeting with reward model driven by CPA Source: Mythings.com Free for advertiser Post-impression cookie CPA on sale
[object Object],[object Object],[object Object],PI Cookies carefully added to the marketing mix
Social Media
[object Object],[object Object],Social media embedding brings affiliate marketing to masses
[object Object],[object Object],Interfaces adapted for ‘micro-affiliates’
[object Object],[object Object],[object Object],Purchase sharing unearths products I care about
[object Object],Crowdsource what’s hot right now
Product Discovery
How do ‘real people’ search or discover products?
Mashup datafeeds with apps to create value
[object Object],[object Object],[object Object],[object Object],Fast-track innovation with affiliate merchant collaboration
[object Object],[object Object],Configure specific storefronts for groups of products or themes
On-page monetization
[object Object],[object Object],[object Object],Automatically link keywords to affiliate links
Associate products right at the image source
Affilination: The future of affiliate marketing
[object Object],[object Object],[object Object],[object Object],[object Object],Affilination Era (AE) 2013-?
[object Object],[object Object],[object Object],Social media a dominating influence
[object Object],[object Object],[object Object],Microaffiliates & Micropayments
[object Object],[object Object],[object Object],[object Object],[object Object],Real-time data will redefine ‘impulse buys’
[object Object],[object Object],Merchandizing will continue to drive product association to film, music, books
Redefinition of affiliate marketing ,[object Object],[object Object]
Referratization ,[object Object]
Innnovation will drive this industry forward ,[object Object],[object Object],[object Object]
Takeaway tip: Read “The Referral Engine” ,[object Object],Yes this is an affiliate link
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Any questions?

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Affiliate marketing: the bleeding edge